When you live from one paycheck to the next, you never know when an unforeseen financial situation will arise, leaving you desperate to find fast cash before payday. Thankfully, cash advance companies can be found just about anywhere in the country. Even if you do not like the idea of taking out a loan that has to be repaid in full on your next payday, installment loans are often available. But if you have never accepted an installment loan from a fast-cash lender, you may be tempted to believe some of the most common misconceptions. Here are a few of those misconceptions about installment loans and the facts you should know before making any decisions.
Misconception: Cash advance installment loans are more difficult to obtain.
Fact: One of the greatest things about installment loans through payday lenders is that they are usually just as easy to obtain as a regular cash advance at most places. The only thing that is really changing is how long you have to pay the loan off, which can mean additional interest. However, the additional charges are often worth it to have the extra time to repay what is borrowed.
Misconception: Not many payday lenders offer installment loans to customers.
Fact: Installment loans may be a relatively new service offered by payday lenders, but it is not at all uncommon. The installment loan is convenient for customers and helps to prevent people from getting stuck in a loan cycle that can sometimes occur with a lump-sum repayment plan. Therefore, many of the most reputable cash advance companies now offer installment loans for their customers.
Misconception: Installment loans will require that you allow the company to be a lienholder.
Fact: Title loans and installment loans are two completely different types of loan products offered by fast-cash services. Even though there may be a few companies that will require some form of collateral for a large loan amount, it is not typical with the regular installment loan. Just like the regular cash advance, you will only be required to have a bank account, proof of employment, and proof of identification, in most cases.
The bottom line is, when you need money in a rush, an installment loan is an incredible advantage for you as a consumer. Be sure to talk to a lender or representative from a cash-advance service about any questions or assumptions you have about this loan process.Share